4,500 jobs at risk as retailer and restaurant chains appoint administrators

Carluccio's in Brindleyplace, Birmingham

Around 4,500 workers face losing their jobs after two national chains confirmed this afternoon they had fallen into administration.

Retailer Brighthouse and restaurant chain Carluccio’s have been struggling for some time, with the impact of the coronavirus lockdown proving to be too much to withstand.

Julie Palmer, from Begbies Traynor, said: “Coronavirus was the final nail in the coffin for BrightHouse.”

Brighthouse

BrightHouse, which is a rent-to-own operator, has 240 shops and 2,400 employees. Grant Thornton will be handling the retailer’s administration.

Carluccio’s employed more than 2,000 people at its 71 restaurants. It was founded in 1991 by Antonio Carluccio, who died in 2017.

The restaurant chain has been in difficulties for some time, and shut 34 sites as part of a CVA in summer 2018.

Geoff Rowley, joint administrator and partner at FRP, said: “We are operating in unprecedented times and the issues currently facing the hospitality sector following the onset of Covid-19 are well documented.

“In the absence of being able to continue to trade Carluccio’s, in the short term we are urgently focused on the options available to preserve the future of the business and protect its employees.”

Carluccio’s follows Chiquito, which last week said it would not be re-opening 61 restaurants when it entered administration.

The Government’s Coronavirus Job Retention Scheme, which funds 80% of wages of individuals that have been furloughed, can be used to support people employed by companies in administration.

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